American wants to extend its exclusive right to submit a
reorganization plan in court to March 11 from Jan. 28, according
to a filing today in U.S. Bankruptcy Court in Manhattan.

The Fort Worth, Texas-based airline, which has agreed to
share information with US Airways, said it’s refining its
business plan and working with creditors on a “collaborative
review of strategic alternatives.”

“American has made significant progress in its
restructuring,” Sean Collins, a spokesman for the company, said
in a statement today. “This work, while progressing well, takes
time.”

The request came the day after American marked its one-year
anniversary in bankruptcy. The extension, which is supported by
the committee representing unsecured creditors in the bankruptcy
case, would prevent others from filing rival plans in court and
maintain the carrier’s control over its restructuring.

U.S. Bankruptcy Judge Sean Lane is scheduled to consider
the request at a Dec. 19 hearing.

American has exchanged information with Tempe, Arizona-
based US Airways under a nondisclosure agreement. AMR has said
it prefers to leave bankruptcy as an independent company, while
US Airways backs a tie-up.

US Airways

US Airways made its case for a merger to American’s
creditors committee on Nov. 13, according to three people
familiar with the matter. The committee, which includes unions
and bondholder representatives, has an influential voice in the
bankruptcy proceeding.

“Knowing that US Airways is in discussion with the
parties, we take this extension of exclusivity request as a
positive sign that things are proceeding in a productive
manner,” Dennis Tajer, a spokesman for American’s pilots union,
said today in a statement.

AMR’s $460 million of 6.25 percent convertible notes due
October 2014 rose 6 cents to 78 cents on the dollar, according
to Trace, the bond-price reporting system of the Financial
Industry Regulatory Authority. The notes traded at 17.75 cents
after AMR’s bankruptcy filing. US Airways shares fell 11 cents
to $12.89 in New York trading.